I followed the directions given by DaveF1006 & entered all the numbers from the Grantor Letter by generating a K1 as Dave describes. I checked boxes 1-5 and box 14 on his Step 7. This gave me places to enter all the numbers.
Problem: on the Schedule E generated from my K1 entries, the "Partnership Income from Passive Activities" is entered under the "Active" column instead. (note: the active & passive numbers flow down to the same spot.) Schedule E also shows this income as belonging to the Liquidating Trust as opposed to the REIT Properties LP as indicated on the Grantor Letter.
Bottom line: I did this for both of the Grantor Letters I received from HGR Liquidating Trust and it made zero difference to what I owed.
